Citizens Market Accountability Advisory Committee Meeting Report: June 8
Jun 8, 2009
On Monday, June 8, 2009, the Citizens Property Insurance Corporation (“Citizens”) Market Accountability Advisory Committee (“Committee”) met to discuss insurance-related topics to be monitored by the Committee during its 2009-2012 tenure. To view the complete meeting agenda, click here.
Committee Chairman Brian Squire called the meeting to order, with members Belinda Miller, Christian Monnar, Curtis Gilbert, Dave Newell, Skip Boylan, Nancy Bonnell, Phil Zellman and Steve Roddenberry in attendance.
Chairman Squire presented the list of topics, which may be viewed by clicking here.
After discussion, the Committee determined it would monitor the following topics from the list:
Transient Insurance-Citizens’ personal and commercial residential accounts are affected by transient, or short-term rental exposure. In some cases, based on the age, type of construction and type of entity maintaining ownership of the property, Citizens is the only carrier that will cover it.
It was suggested that an exception to Citizens’ coverage exclusion for transient properties be made for condominiums and townhomes, which would allow the property owner to obtain insurance for the property in question. After discussion on the merits of providing transient insurance, the Committee determined that it will gather information on this topic and present its recommendation to the Board of Governors (“Board”).
Wind-Only Insurance for Vacant Dwellings-Due to a rise in the number of vacant dwellings across the State of Florida, there may be a need for Citizens to carry wind-only coverage for those properties until the private insurance market will underwrite the risk. Currently, vacant properties are not covered by the private insurance market and Citizens is not required to offer coverage. The Committee determined that it will gather information on this topic and present its recommendation to the Board.
Wind Mitigation Credits-Policyholders have requested information on the amount of money they are saving through wind mitigation credits. Potential savings calculations based on wind mitigation credits are not currently listed on Citizens’ policies, nor are agents able to easily provide that information when contacted by policyholders. The Committee will gather information on the best way to list wind mitigation credits on homeowners’ insurance policies and present its recommendation to the Board.
Rate Increase-The Committee will monitor any issues arising from the Citizens rate increase provided for by 2009 legislation and make a comparative presentation to the Board on rates charged by the voluntary insurance market.
Statutory Requirements-As required by law, the Committee also will continue to provide information at each Board meeting on market issues, which may include: rates and rate competition with the voluntary market; customer and agent service issues; and depopulation matters.
The meeting was then adjourned.
Should you have any questions or comments, please contact Colodny Fass.
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